Recent refinancings for
Port of Newcastle, the world s largest thermal coal export port, and the
Loy Yang B coal-fired power plant in Victoria show that the sector is becoming increasingly reliant on a narrower group of lenders as the focus on environmental, social and governance factors upends long-standing relationships. Both deals took several months to close, underlining the challenges facing Australian borrowers in a sector with about US$13bn of loans due to mature by the end of 2023. (
See Table.)
“The ESG movement is strong and it’s very challenging to fight against it,” said a Sydney-based banker at an Asian bank. “Banks are competing for green credentials and keen to promote how ‘green and clean’ they are. It’s difficult to book new assets, particularly in thermal coal.”
AGL allocates pitiful amount to coal and gas rehabilitation duties greenleft.org.au - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from greenleft.org.au Daily Mail and Mail on Sunday newspapers.
Business by Sophie Elsworth
Premium Content Energy giant Alinta Energy has been slapped with a $1.125 million fine for failing to help struggling customers who could not pay their bills. The Essential Services Commission has dished out its biggest penalty ever for an energy retailer after it found Alinta caused immense distress to dozens of vulnerable customers. Between October 2019 and March 2020 the company breached rules and put 75 Victorian customers experiencing hardship in even worse situations. This included failing to help some who had suicidal thoughts, others missed bills due to a death in the family and many were worried about having their energy supplies disconnected.